strategic_marketing_anu_2017_khadfandomcom-20200215-history
Brand Value
Wiki 1- Brand Value What does Brand Value mean to you? Seth Godin, an American entrepreneur and marketer, stated that his personal belief on that brand value is the total of how much consumers are willing to pay extra for a product, or how a brand affects the personal choice of a consumer. This is shown through the development of a relationship with the consumer, that ultimately creates an image and story for the brand. (Godin, 2009). How brand value can be managed is through the Customer-Based Brand Equity model. The perfect brand story is created from the company also understanding the Customer-Based Brand Equity (CBBE). This is the concept of recognising the preception of the brand from the consumer's perspective. By learning how the consumer views the brand, the people responsible for managing the brand can realign the brand with the narrative they are trying to construct, and to continually offer the value proposition that drives consumers to purchase the product. (Keller, 1993). Brand Value can be readily built and renewed by companies- discuss and show how/how not. It is important for the brand value of a company to be consistently analysed, to ensure that the company is consistently producing the image and reputation that it wants to, and that the larger story created from their brand value is on target. This will ensure that the brand is continuing to adapt and change with society, making it innovative and progressive, whilst also still utilising the existing strengths of the company moving forward. When the brand value is renewed, it can be altered and rebuilt to create a more appropriate image for itself that is up-to-date. An excellent example of a brand rebuild that has been well executed is Burberry, who by refocusing on the aspects of the company that made the brand great have been revitalised in today's market. Burberry was falling behind in the luxury fashion industry, as and organisation they were at odds with their British heritage and their products were not focused on what had made them a prominent name, as well as design being decentralised across multiple design departments, leading to a less clearly defined brand image. Because of this, they had to go through the four stages of Brand Development, as laid out in the CBBE, that would help them survive. Identity: who are they? * Angela Ahrendts said that she saw it important for Burberry to remain focused on its "core heritage products". * The known Burberry trench coat is recognised globally. * Widely known and viewed as a quintessentially British company. * Ahrendts saw that it was important to come back to this idea of who is the company Burberry. This is through developing clear values that the company wishes to upload and centre their brand on. Meaning: what are they? * The trench coat was the way that Ahrendts saw growth in the company again. Essentially having to go back to basics to rebuild the brand value. * Ensuring the products were specifically made in Britain, rather than international was one of the first moves from Ahrendts. * "The Ethos of the Trench" or the CBBE value of the trench. Response: what about you? * The company started focusing their time onto their employees, making sure that they were all qualified to sell the trench coats, rather than selling "what was easy". * People needed to understand why the trench was the best investment for them. * Burberry started shifting their marketing towards everyone, focusing on the luxury customers of the future, leading to a complete digitisation of their marketing efforts. Relationships: what about you and me? * Burberry created its first social media platform called artofthetrench.com, that celebrates the history of the iconic trench coat. * This is used as a way of allowing their customers to engage and interact with the brand, which builds relationships with consumers. As seen through Burberry's ability to renew and then rebuild its brand value by focusing on its main core items, like the trench coat, further proves that it can be achieved. It is important to apply the CBBE to the brand so that they understand the customer's perception of the brand and then how to improve or further develop different aspects of the brand value. (Keller, 1999). References Ahrendts, Angela. "Burberry's CEO on Turning an Aging British Icon into a Global Luxury Brand." ''Harvard Business Review. ''Harvard Business Publishing, 31 July 2014. Web. 14 Mar. 2017 . Godin, Seth. "Define: Brand." Blog post. ''Seth's Blog. ''TypePad, 13 Dec. 2009. Web. 14 Mar. 2017. . Keller, Kevin Lane. "Conceptualizing, Measuring, and Managing Customer-Based Brand Equity." Journal of Marketing 57.1 (1993): 1. Keller, Kevin Lane. "Managing Brands for the Long Run: Brand Reinforcement and Revitalization Strategies." ''California Management Review ''41.3 (1999): 102-24. Mind Tools Editorial Team. "Keller's Brand Equity Model: Building a Powerful Brand."''Strategy Tools from MindTools.com. ''Mind Tools, 2 Feb. 2017. Web. 14 Mar. 2017. .